Progressive Capitalism by David Sainsbury: A new centre ground is being forged

This book is equally important for what it says and for who is saying it. A decade ago, this prospectus would have seen its author branded “Red Sainsbury”. Now it is sensible and mainstream.

Progressive Capitalism: How to Achieve Economic Growth, Liberty and Social Justice
David Sainsbury
Biteback, 256pp, £20

This book is equally important for what it says and for who is saying it. The argument that growth, liberty and social justice require a fundamental reform of capitalism is rapidly moving from the left to the mainstream; and nothing symbolises this more than that David Sainsbury, the epitome of the progressive mainstream since his days in the vanguard of David Owen’s SDP in the 1980s, should be making it.

It is a powerful and cogent critique. Sainsbury was an effective science minister under Tony Blair who greatly increased state support for science. However, he writes: “It was only after I left government . . . that I began to question fundamentally the neoliberal political economy which had dominated governments in the western world for the last 35 years.”

Partly this was because of the 2008 crash and a growing conviction that competitiveness required a “race to the top” – not neo - liberalism’s “race to the bottom” – with state support for employment, innovation and skills. But there was also a telling personal dimension: the private equity takeover bid for his family firm, Sainsbury’s, in the summer of 2007. “There was not the slightest pretence of trying to improve the performance of the company,” he claims. The bidders proposed “to sell off all the properties and replace them with massive debts. Then they would put the company back on the market . . . and walk away with £1bn of profit.” The City was wildly keen, salivating at the £100m in fees the investment banks stood to earn: “a perfect example of wealth appropriation as opposed to wealth creation”.

The policy prospectus set out in the second half of the book is a must-read for anyone seeking to make sense of that new catchphrase “active industrial policy”. Sainsbury recommends far-reaching reform of equity markets to foster the creation and expansion of companies rather than their destruction and foreign takeover; a “national system of innovation” with the state as a key player; and a revolution in technical and vocational education that emulates German strength in these areas, although he warns against copying Germany glibly.

On equity markets, he favours a big cut in the fees paid to investment managers and a new “Shareholders’ Advisory Board” to promote “an understanding of the fundamental value of the companies in which [the City] invest[s]” rather than their short-term trading value. Investment managers should also get far more involved in the governance of the companies they own, including the appointment of directors and holding them to account, and constrain the boardroom pay explosion which shows little sign of abating. A wildly overpaid City breeds a wildly overpaid corporate sector.

Sainsbury is especially bold on takeovers. He proposes higher “hurdles” in shareholder support required from within the target company, and restrictions on those who can vote to those who have held shares in the target company for “a certain number of years”. This goes way beyond the 2012 Kay review of equity markets and long-term decision-making.

On innovation, Sainsbury supports the coalition’s establishment of Catapult Centres – national technology and innovation hubs in key industrial sectors, starting with highvalue manufacturing – but he favours more support for new technologies. Government departments should have “embedded R&D units” to promote technology and innovation on a strategic long-term basis; and regional development agencies – abolished by the coalition in 2010 – should be restored “in parts of the country which need them”.

A dramatic increase in the supply of technicians, especially with engineering skills, is Sainsbury’s goal for a revamped education and training system. Kenneth Baker’s new breed of university technical colleges for 14- to-19-year-olds should be expanded and local industry integrated in the management of further education. Some would go further and seek to introduce an English equivalent of Germany’s “dual system”, whereby employers and local authorities take joint responsibility for a system of mass apprenticeships with highquality vocational training alongside. But Sainsbury does not think this feasible because of the weakness of Britain’s chambers of commerce, trade associations and trade unions in comparison with Germany.

Sainsbury would pioneer reform through an “enabling state”, rather than through a return to “command and control”. But an enabling state is not a smaller state. “A first task of progressive politicians is to persuade people of the importance of competent and active government, standing above sectional interests,” he writes. This, conceptually, is a return to mainstream social democracy after its partial abandonment in recent decades. It cannot be achieved without a transformation in the capabilities of government, including a new national economic council and a much more purposeful civil service.

Sainsbury also puts in a heartfelt personal plea, from a public-spirited party donor caught up in party funding controversies, for state funding of parties so that governments of both parties are better able “to stand up to the financial power of interest groups”, be they trade unions or investment managers and bankers.

A decade ago, this prospectus would have seen its author branded “Red Sainsbury”. Now it is pretty sensible and mainstream. A new centre ground is being forged.

Andrew Adonis is the author of “5 Days in May: the Coalition and Beyond” (Biteback, £12.99)

The argument that growth, liberty and social justice require a fundamental reform of capitalism is rapidly moving from the left to the mainstream. Photograph: Getty Images.

This article first appeared in the 20 May 2013 issue of the New Statesman, The Dream Ticket

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In the name of the father: Patricia Lockwood on sex, centaurs and Catholicism

The author of the viral poem “Rape Joke” talks about growing up with her gun-toting Catholic “priestdaddy”.

“Oh my fricking God. It’s a centaur.” The American poet Patricia Lockwood and I are in the lobby of a Whitehall hotel and she is finding the quantity of equine art distracting. I have already been skipped along a corridor to examine the bizarrely detailed rendering of a horse’s anus in a Napoleonic painting (“They made a point of doing him straight up the butt”) that turns out to be a copy of Théodore Géricault’s Charging Chasseur. Now a statue on the mantelpiece has caught her eye, prompting a reverie on what she saw at the British Museum a couple of days ago: “A wonderful statue of a man kneeing a centaur in the balls. It’s the most important thing to me there. It’s so beautiful.”

The confluence of violence, sex, orifices, animals and mythology runs throughout Lockwood’s work in wild and witty poems such as “The Whole World Gets Together and Gangbangs a Deer” (inspired by the realisation that “Bambi is a puberty movie”) and “Revealing Nature Photographs” (pastoral verse meets porn spam) – and it also colours her new book, Priestdaddy, a deeply idiosyncratic family memoir in which copulation is a go-to metaphor. Her dad’s frenzied, tuneless playing raises the prospect that he might be “having sex with the guitar”; during Lockwood’s teenage depression, she writes, the only thing she was having sex with “was the intolerable sadness of the human condition, which sucked so much in bed”.

Lockwood (pictured at her First Holy Communion) has dark, cropped hair and elfin features, pearly white nails and sleeping cats on her knees (an effect achieved with decorated tights – “Let this be for the stocking boys,” she says). Her voice is deadpan, frequently dipping into laughter without losing her poise. She is one day off her 35th birthday and has been married since she was 21. Her father, Greg, is a priest and, along with her four siblings in a succession of rectories across the Midwest, she was raised a Catholic – thus ensuring, she says, the permanent sexual warping of her mind.

“We Catholics become perverts because of the way sex is discussed in strictly negative terms. I saw pictures of aborted foetuses before I knew what basic anatomy was.”

As a devout teenager, she attended a youth group called God’s Gang and was given a virginity pledge in the form of a business card. The group leaders had a “very hip and young” approach: “We’re going to tell you every single thing you can do, in explicit terms, and just be like, ‘But don’t do it.’”

The ribald humour of her writing – Lockwood is renowned on Twitter for her surreal “sexts” – often contains a darkness. The poem that made her name, “Rape Joke”, takes her experience of being raped at 19 by a boyfriend and metes it out in discrete, increasingly devastating soundbites and images. It was posted online in 2013 and went viral, leading to a publishing deal for her collection Motherland Fatherland Homelandsexuals.

After the rape, Lockwood was “absolutely insane” for about five years, but it’s not as if she was entirely happy before: at 16, she had attempted suicide by taking a hundred Tylenol tablets. Her memoir recounts, too, being embedded in a church mired in scandal, a claustrophobic situation that hit home when a priest close to her was arrested for having sex with a 14-year-old boy. Such events led to Lockwood abandoning her faith and escaping with Jason, her future husband, whom she met on an online poetry messageboard.

When Patricia was 30, she and Jason ran out of money and moved back to the rectory, allowing her to observe her parents afresh. The resulting portraits in Priestdaddy are larger than life: her mother, Karen, is a hyperactive generator of mad puns and proverbs; her ex-navy father is a self-mythologising, right-wing whirlwind of talk radio, guns and Tom Clancy novels. Married Catholic priests are rare but Greg, previously a Lutheran minister, got the pope’s permission to convert. Usually to be found in his underwear, he wants for no new expensive gadget or guitar, though the family is expected to make sacrifices. In 2001, two weeks before Patricia – who learned to read at three and was writing poetry at seven – was supposed to leave for college, he told her that they couldn’t afford it. He later “changed the story in his mind so that I had said I don’t need to go”.

“Growing up in my household,” she says, “all of these far-right, retrograde ideas of gender roles and the man as patriarch existed from the very beginning. But I didn’t think of my house as a bellwether of what was going to happen.” It came as no surprise to her that Greg and many like him voted for Trump. When she reported on a Trump rally in February 2016, she “moved like a ghost through the crowd. They saw me as one of their own.”

Anger at her father’s selfishness “would be useless”, and Lockwood respects his sense of vocation, which she feels she has inherited. She has believed in her own genius ever since she was writing “mermaids-having-sex-with-Jesus poems” at the age of 19. Jason is her support staff, licking her envelopes and buying her clothes. His offering the previous day was a T-shirt emblazoned with Justin Bieber’s face: it revealed how much she resembles the singer – “a full 90 per cent overlap” – and is definitely not ironic.

“Do you think we only got irony after Christ was crucified?” she wonders, and then spots two black-clad priests in dog collars who have sat down across the room from us. “Ooh,” she exclaims, awed and delighted, and then, in a whisper, ever confident in her powers of creation: “I manifested them.”

“Priestdaddy: A Memoir” is published by Allen Lane. “Motherland Fatherland Homelandsexuals” is published by Penguin

Tom Gatti is Culture Editor of the New Statesman. He previously edited the Saturday Review section of the Times, and can be found on Twitter as @tom_gatti.

 

This article first appeared in the 25 May 2017 issue of the New Statesman, Why Islamic State targets Britain

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